IRS Provides Safe Harbor Tax Guidance on PPP Loan Business Expense Deductions
The Treasury Department and the Internal Revenue Service (IRS) issued Revenue Procedure 2021-20 PDF on April 22 for certain businesses that received first-round Paycheck Protection Program (PPP) loans but did not deduct any of the original eligible expenses because they relied on guidance issued before the enactment of tax relief legislation in December of 2020.